Reserve Bank Purchases of Government Securities

Starting Friday 20 March 2020, the Reserve Bank is prepared to purchase Australian Government
securities (AGS) and securities issued by the state and territory central borrowing authorities (semis)
in the secondary market consistent with the objectives as set out in the Governor's Statement of
19 March 2020.

The Bank will undertake multi-price auctions for government securities. The size and composition of
purchases will be determined subject to market conditions and will vary across auctions.

Announcements

The Reserve Bank will announce its intentions for government securities purchases at 11.15 am
(AEST/AEDT) on the day of purchase via Yieldbroker DEBTS. The announcement will indicate the total face
value (AUD) and specific securities the Reserve Bank is willing to purchase, the time within which
offers are to be submitted (from 3.25 pm to 3.30 pm AEST/AEDT) and the settlement date
(T+2).

A less detailed notification of the operation will also be provided via the market data services
(Reuters – RBA27; Bloomberg – RBAO8) at the same time.

Eligible Counterparties

All RITS members deemed eligible to participate in the Reserve Bank's domestic market operations
may participate in the AGS auctions (see Eligible
Counterparties).

Offers

Offers are to be made over Yieldbroker DEBTS.

Offers are to be made in absolute yields in quarter basis point increments, with a minimum offer of
$5 million face value and increments of $1 million.

Participants who encounter difficulties in submitting their offers over that system should directly
contact Yieldbroker DEBTS and also inform the Reserve Bank's Domestic Markets Desk by email.

Offers cannot be submitted, changed or withdrawn after the cut-off time for submissions has
passed.

Notification

All participants will be notified promptly of the success or otherwise of their offers via Yieldbroker
DEBTS.

Aggregated results will be published on market data services (Reuters – RBA28; Bloomberg
– RBAO8) shortly after the auction, and in Statistical Table A3
on the Reserve Bank website. These include the issuer and series, face value and weighted average and
cut-off yields for each security purchased. No information regarding the identities of the Reserve
Bank's counterparties will be made public.

Securities Lending

The Reserve Bank stands ready to lend securities against AGS and semis (i.e. general collateral) at
market rates on a reverse enquiry basis.